KUALA LUMPUR, July 9 (Bernama) -- Bursa Malaysia closed lower on Thursday as renewed geopolitical tensions in West Asia weighed on investor sentiment. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) fell 5.97 points, or 0.36 per cent, to 1,677.64 from Wednesday's close of 1,683.61. The benchmark index opened 2.62 points lower at 1,680.99, and moved between 1,676.18 and 1,683.80 throughout the session. However, market breadth was slightly positive, with gainers leading losers 533 to 504, while 547 counters were unchanged, 1,112 untraded, and 12 suspended. Turnover slipped to 2.64 billion units valued at RM2.19 billion from 2.96 billion units valued at RM2.18 billion on Wednesday.
I'm not a believer of technical analysis but I heard a lot of people in the investment industry look at the technical analysis and try to understand the trend and behaviour of the stock moving forward by looking at the chart.
Well, I'm no expert to it but if you are interested, here is one term that you should understand: Trade Volume Index (TVI).
A technical indicator that measures the amount of money flowing in and out of an asset. Unlike many technical indicators, the TVI is generally created using intraday price data. The underlying assumption of this indicator is that there is buying pressure when the price trades near the asking price and selling pressure when it trades near the bid. The TVI is actually very similar to the on balance volume indicator but it takes the volume attributable to every trade instead of just the closing volume.
Generally, TVI helps investors to identify which security is being accumulated (buy) and which are being distributed (sold).
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